Stock Entertainment Giant, Light & Wonder, Leaves Nasdaq, Aims for Sole Listing in Australia
In a significant move, global gaming tech giant Light & Wonder has announced its intention to delist from the Nasdaq Stock Exchange and focus exclusively on the Australian Securities Exchange (ASX) by November 2025 [1]. This strategic decision aims to consolidate liquidity in a market with a deep understanding of the gaming sector, which the company believes will unlock maximum shareholder value and align better with its growth plans.
The company's shares have decreased more than 11% over the past year, with a significant portion of the drop attributed to an ongoing intellectual property dispute with Aristocrat Leisure [1]. However, Light & Wonder recently secured a favorable ruling in this dispute, which may bode well for its future.
So far in 2025, the total share repurchase by Light & Wonder stands at $266 million. The company plans to use at least half of the $950 million still available in its buyback program before the delisting, with $100 million worth of shares repurchased in the second quarter alone [1].
The Sydney listing currently accounts for approximately 37% of the company's overall market cap. Light & Wonder first listed in Sydney more than two years ago. The company hired Jarden Australia and Goldman Sachs to explore the benefits of switching entirely to the ASX, which is expected to significantly increase its market capitalization on the ASX, elevating it from around AUD 4.5 billion to AUD 12.2 billion [1]. This move will make Light & Wonder eligible for the ASX 50, potentially attracting more investors.
Management has engaged with shareholders and index providers to ensure a smooth transition. Jefferies analyst David Katz stated that entry into the ASX 50 could prompt fund managers to snap up shares. The transition was announced by CEO Matt Wilson during the second-quarter earnings report presentation.
Light & Wonder is also preparing for a launch in the UAE. Australia, a market dominated by Aristocrat Leisure, is seen as a better option for companies like Light & Wonder seeking investors who are more familiar with gaming tech. A trial in the intellectual property dispute is scheduled for next year.
The company's debt ratio may temporarily exceed its preferred range due to the share buyback, but Light & Wonder's CEO, Matt Wilson, believes the move will deliver tremendous shareholder value. The delisting process is expected to be completed by the end of November.
[1] Source: Company Press Release, Second-Quarter Earnings Report Presentation.
- Light & Wonder, in its strategic shift, aims to utilize a significant portion of its remaining buyback program to invest in its share repurchases, committing $100 million worth of shares repurchased in the second quarter alone.
- With the company's delisting from the Nasdaq Stock Exchange and focusing exclusively on the Australian Securities Exchange (ASX) by November 2025, Light & Wonder expects to elevate its market capitalization, potentially attracting more investors and aligning better with its growth plans in the finance sector.
